The property sector received a short-term boost after Morgan Stanley suggested that property stocks could soar in the first half of the year before a recession hits. Daily Telegraph

Analyst Martin Allen said that he expects 'UK property shares to rally by at least 20% in the first half of 2008 as the Bank of England is forced to cut UK base rates by around 100 basis points in an attempt to avert a recession'.

But he warned that this rally is likely to prove short-lived.